McCain would like the US Treasury to become a Mortgage institution with just a few strokes of his pen.Â I find this incredible interesting if not totally insane. So how does the Treasury department begin to appraise, underwrite and issue millions of loans in a short space of time? Our country is filled with entire industries who are solely devoted to that task and many of them seem to be incompetent. Each one of them has contributed to the present situation; although with plenty of help from government subsidies for mortgage credit at every step. I have yet to see government do anything better than the private sector other than help out friends family and campaign contributors. (See Charlie Wilsonâ€™s War)

What is the motivation behind John McCainâ€™s new plan?Â Is this a bid to save his candidacy and try to win voters who are in debt up to their eyeballs from consumption spending or is this a ploy to actually fix what is broken with in our economy?Â The problem is that we have been on an unchecked spending binge as a nation for the past 20 years. We are now waking up to a financial hangover that I estimate will be with us for 5 or more years. Americanâ€™s have gotten themselves into so much debt through instant gratification that we canâ€™t remember how to work, save and purchase anything. And infact this is foreign to many of todaysÂ consumers. Instead we jeapordize our future by manipulating payments and squeezing new purchases into a complex web of lies to satisfy our urge to have now consequences be damned. American’s have had a negative savings rate for a while. We have a generation and a half that doesnâ€™t understand that everything in life comes via work.Â There are no free lunches, no quick fixes.Â Maybe the helicopter parenting has finally caught up with reality. That’s a post for another time.

Or maybe itâ€™s a race to see who can rewrite Franklin D. Rooseveltâ€™s New Deal? Maybe we can have a Hollywood type title: â€œNew Deal Too The Reckoningâ€Â and to Quote from the Wall Street Journal, McCainâ€™s New Deal is cheaper for the tax payer.

We’re all for thinking creatively to solve the country’s housing correction, and Mr. McCain’s obvious political intention is to show struggling homeowners that he cares. Perhaps the best argument for the McCain idea is that it is likely to be far less expensive than the Second New Deal that Barack Obama is likely to propose on January 20 if he wins. But Mr. McCain’s plan to transform Treasury into a major mortgage lender, and running the operation at a potential $300 billion loss, raises more questions than it answers.

Here is my hastily written letter:

Dear Mr. McCain

Have you lost your mind? You want to spend $300,000,000,000 on people who were financially retarded. These people bet their financial futures for a fast buck and lost. Now you want to reward this people with a government loan, also known as my tax dollars. What do you intend to do for the people who live responsible? I saved and scrimped for every dime to buy a house and then itâ€™s a very modest house. Are you going to pay off my house? Are you going to pay my student loans? Where is my hand out?
This is totally absurd…

Sincerely

Eran Bair
Angry Tax Payer

Clinging to Guns and Religion Free Financial Tip:Â Looking for a safe investmentâ€¦ Guns, Magazines and ammunition.Â As we near November 4th and Barack Obama makes gains in the polls watch for prices to rise on all three of these right wing commodities.Â After the election the gun laws are going to change and we will have a period of strict gun control. While Obama claims to be pro 2nd amendment he has spent his career trying to ban guns in Illinois.Â Those holding the larger magazines and banned weapons and ammunition without tracking serial #â€™s will hold a cache of wealth. Donâ€™t believe me try finding a Glock Pistol Magazine in Utahâ€¦ and then realize thatÂ just a few short months ago prices for those now hard to get items were half what they are now.